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Oil is formed under the crust of the earth due to immense heat and pressure. Some of the countries are a step ahead in petroleum and natural gas deposits. This is only because of their geographical location and its earth's complex mixtures. Some of the leading oil producing countries and region are Texas and California- United States of America, Russia, Saudi Arab, Iran and Iraq, Nigeria, Venezuela etc. All these countries and regions have the so called reserves of petroleum. These areas have the porous rock formation on the upper layer of the earth's crust. The current consumption of oil is estimated to be around 84 million barrels per day as opposed to the regular collection of oil which is about 1.2 trillion each day. Oil is estimated to be the main source of energy in the coming years but other alternative sources are rapidly being developed, like solar energy, coal, wind power etc.

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